CHAPTER 4 ACCOUNTING RECORDS AND SYSTEMSChanges from Tenth Edition The chapter has been updated. Approach Instructors will differ in the coverage that they give to this chapter, depending on their personal preference and on the background of their students. For executive groups, the material may either be omitted altogether or suggested as optional reading. For students who have previously had a course in accounting, a review of this chapter is probably desirable, even though there should be nothing new in it for them. For beginning students, we find it highly desirable to give much practice in the mechanics of accounting. As pointed out in the text, this practice is intended to provide facility in a tool that will prove useful in later work in analyzing problems, rather than to make the students into expert bookkeepers. Instructors have taught a whole first course in accounting without once mentioning debit and credit. We believe that their principal motive for doing this is to prove to their colleagues that it can be done. Actually, the debit and credit mechanism is a device that permits the students to record the results of their analysis of transactions unam­biguously. It also facilitates clear communication in the classroom. Discussion is likely to be cumbersome and subject to much misunderstanding if debits and credits are not required. Many of the fine points of bookkeeping are omitted from the text, but our experience has been that enough information is given so that students understand the idea of debit and credit and can use the journal, ledger, and other tools in analyzing subsequent cases. Cases The first two cases are primarily for practice and drill. It is perhaps not even necessary to discuss both of them in detail in class although some time should be allowed for students to raise questions. As in other cases, no standard terminology should be enforced although it may be in order to call attention at this point to the fact that when the name of an account is given, this precise name should be used in the journal entries. One of the cases is an unincorporated business and the other is a corporation, so that the student can observe that there is a very little difference in the recordkeeping for these two types of businesses. Also, in one case the accounting period is a year and in the other it is a month, to emphasize the similarity of accounting for these different time intervals. Copies Express is a straightforward complete cycle problem.

Octane Service Station involves a complete cycle of transactions. It involves several judgmental matters. Some instructors regard it as being too difficult for use here and defer it until a later chapter.

Note: Octane Service Station is quite difficult. Although given in Chapter 4, it can be used as well in any of the following chapters, or even as a review after Chapter 14. Problems

2) Dr. Sales Discounts and Allowances $34,150 Cr. Provision for Sales Discounts and Allowances $34,150 Sales discounts and allowances is a deduction from gross sales to arrive at net sales. The provision is a liability. 3) Dr. Interest Receivable $35 Cr. Interest Income $35 Interest receivable is an asset. Interest income would be listed as other income in this period’s income statement. 4) Dr. Depreciation Expense $13,660 Cr. Accumulated Depreciation $13,660 Depreciation expense is an income statement item. Accumulated depreciation is disclosed as a deduction from the related depreciable asset.

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...REFLECTION
PAPER:
ACCOUNTINGRECORDS
AND
SYSTEMS
A Reflection Paper: AccountingRecords and Systems
Author Note:
This paper was prepared for the Financial Accounting Course
1
REFLECTION
PAPER:
ACCOUNTINGRECORDS
AND
SYSTEMS
2
The AccountingRecords and Systems chapter describes the mechanical means to
record and summarize transactions (Anthony, Hawkins and Merchant, 2011). Every financial
transaction is recorded to control and to provide the basis for financial reporting. An account
keeps an entity’s financial data organized, it is a system that sorts transactions. Accountants and
bookkeepers often use a T account as a visual aid for seeing the debit and credit ("Debits and
Credits." T-Accounts, Journal Entries -. N.p., n.d. Web. 12 Sept. 2013). Debit and Credit are the
two sides; the left hand side, debits, and the right hand side, credits, which has to be equal and if
not then the recording of transactions is incorrect. This is why bookkeeping is called doubleentry bookkeeping and as prescribed by Luca Pacioli it is the method of arranging accounts so
that the dual aspect is present in every accounting transaction (Anthony et al., 2011). This
method is logical to...

...Accounting is very much connected with our personal lives in so far as it is in respect of every business. We all with intent or unknowingly generate accounting ideas in a way when we plan what we will do with money. We need to plan how much money will be spent whilst how much of it will be kept back. What is through this activity is a budget gets prepared. And we all are familiar with this concept - which is universally acceptable, that money must be spent cautiously. The same is true of a business. It is therefore imperative for a business to know about the inflow and out flow of economic resources and their results. Thus, accounting is the very need of a business to provide the information which is useful for sound economic decision making process and owing to the diversification between ownership and management.
Being known as “The Language of business”, accounting is the basic need of a business organization to find out where it stands. It is of great essence to provide the basis for planning and budgeting while dealing with measurement of economic activities and communicating financial information to the users for decision making. Accounting is also meant for protecting the properties of business and communicating the results obtained from the financial statements to the intended parties like share holders, debtors, creditors, and investors while meeting the legal requirements....

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Research Design and Methodology
This chapter presented the sequential methods followed by the researchers in the entire study. It included the research design, determination of sample size, sampling design and techniques, the subjects / respondents, research instruments, validation of the research instrument, data gathering procedure, data gathering methods and Statistical Treatment.
Research Design
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The descriptive method was employed in the study because the researchers had described that it was the most appropriate method to be used in order to identify what recordsystem could be carried out for the College of Technical Studies.
Descriptive research was a type of research that was mainly concerned with describing the nature or condition and the degree in detail of the present situation and explored the cause/s of particular a phenomenon. Since the study was concerned about Electronic RecordSystem for the College of Technical Studies students wherein the researchers studied and described the present situation of the College of Technical Studies. In relation to this, the researchers tried to figure out the problems encountered by the students and personnel so as to lessen these problems and the causes of this phenomenon.
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Sample...

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.
B. Project Context
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